As you can see in the screenshot below, iTunes 7.7 is also built to use the 2.0 iPhone/iPod Touch software. You can likely expect that tomorrow as well.

Also notice the wording about the “Remote application.” This will allow you to use your iPhone or iPod Touch to control iTunes from anywhere in your home. Apple is clearly pretty proud of this app.

Some users are reportedly not seeing the option to upgrade yet, but if you’re on a Mac and run the Software Update, it should be there. The download page itself temporarily showed the new version, before reverting back to 7.6.